---
title: "Modelling a capital gain distribution (CAPG)"
slug: "modelling-a-capital-gain-distribution-capg"
status: "update"
updated: 2026-09-03T14:40:15Z
published: 2026-09-03T14:40:15Z
canonical: "support.lusid.com/modelling-a-capital-gain-distribution-capg"
---

> ## Documentation Index
> Fetch the complete documentation index at: https://support.lusid.com/llms.txt
> Use this file to discover all available pages before exploring further.

# Modelling a capital gain distribution (CAPG)

You can model a capital gain distribution as a corporate action of type `CapitalGainsDistributionEvent` in LUSID. [See all supported corporate actions](https://support.lusid.com/v1/docs/understanding-dedicated-corporate-action-events).

Note the following:

- `CapitalGainsDistributionEvent` is valid for instruments of type `Equity` and `SimpleInstrument`.
- Loading the event works the same way as [CashDividendEvent](/v1/docs/modelling-a-cash-dividend-dvca), but the payment carries capital gains tax treatment rather than being ordinary dividend income, which is why it has its own event type.
- The entitlement date is the `exDate` specified when you load `CapitalGainsDistributionEvent`, not `recordDate`.
- Amounts are calculated from the number of **settled** units held on the entitlement date; unsettled units are not eligible. This is another difference with `CashDividendEvent`.
- The transaction date of the automatically-generated output transaction is `exDate`, and the settlement date is `paymentDate`.

## Loading `CapitalGainsDistributionEvent`

You must load `CapitalGainsDistributionEvent` into a corporate action source registered with one or more portfolios. The event then impacts every registered portfolio with a holding in the underlying instrument. [See how to do this](https://support.lusid.com/v1/docs/how-do-i-upload-corporate-actions-to-a-corporate-action-source).

For more information on fields, see the [CapitalGainsDistributionEvent](https://www.lusid.com/docs/api/lusid/schemas/CapitalGainsDistributionEvent/) schema. Where set, the following date validation rules apply: `announcementDate ≤ exDate ≤ recordDate ≤ paymentDate`

> **Note**: You can set `paymentDate` at event level, at election level, or both. The election-level date takes precedence. At least one must resolve, or LUSID rejects the event.

You must choose **one** of the following participation types:

| Participation type | Election(s) | Election choices | Further action required? |
| --- | --- | --- | --- |
| `Mandatory` | Exactly one `CashElection` keyed by currency | Set the following on the single election: ✅ **Is declared** ✅ **Is default** ✅ **Is chosen** | ❌ No. The single election always occurs automatically. |
| `MandatoryWithChoices` | At least one `CashElection`, each keyed by (the different) currency | The above options must be set but can be in any combination on any election. | ❓ Optional. The **Is Chosen** election occurs unless you instruct to receive a different currency per portfolio (see below). |

Note there is no lapse outcome; a holder who takes no action always receives the chosen election currency rather than forfeiting the distribution.

Issuers specify multi-currency offers in different ways. [See how to handle multiple cash elections](https://support.lusid.com/v1/docs/understanding-participation-types-and-elections-for-corporate-actions#specifying-multiple-cash-elections).

## Instructing to receive a different currency per portfolio

If you load `CapitalGainsDistributionEvent` as `MandatoryWithChoices`, you can instruct to receive the distribution in a different currency. If you do not, you receive the chosen election currency.

To do this, load an *event instruction* into a portfolio. Note this is not an event, and you do not load it into a corporate action source, which means you can instruct differently in different portfolios. [See how to do this](https://support.lusid.com/v1/docs/loading-an-event-instruction-to-override-an-instrument-event-for-a-particular-portfolio).

## Configuring the economic impact

You must create a `CashReceipt` transaction type to handle the automatically-generated output transaction. This is not provided for you. [See our recommendation](/v1/docs/recommended-transaction-types-for-corporate-action-events#capitalgainsdistributionevent).

You can give a transaction type any economic impact you like. Our recommendation:

- Creates or updates a cash holding in the chosen currency.
- Reports the cash as income using the `ProfitAndLoss/Total/Other` [metric](/v1/docs/what-is-a-metric).
- Does not change the units and cost of the underlying instrument, so `ProfitAndLoss/Realised/*` and `ProfitAndLoss/Unrealised/*` metrics are unchanged.

## Reference examples

### Single-currency distribution

An SGD distribution of 0.0027 per unit is announced, with no elective currencies. The single election is declared, chosen and default.

```json
[
  {
    "instrumentEventId": "CapitalGainsDistribution-2026-08-06",
    "instrumentIdentifiers": {
      "Instrument/default/Isin": "SG1AA6000000"
    },
    "description": "Capital gain distribution of 0.0027 SGD per unit",
    "participationType": "Mandatory",
    "instrumentEvent": {
      "instrumentEventType": "CapitalGainsDistributionEvent",
      "announcementDate": "2026-07-24T00:00:00.0000000+00:00",
      "exDate": "2026-08-06T00:00:00.0000000+00:00",
      "recordDate": "2026-08-07T00:00:00.0000000+00:00",
      "paymentDate": "2026-09-25T00:00:00.0000000+00:00",
      "cashElections": [
        {
          "electionKey": "SingaporeDollar",
          "dividendCurrency": "SGD",
          "dividendRate": 0.0027,
          "isDeclared": true,
          "isChosen": true,
          "isDefault": true
        }
      ]
    }
  }
]
```

A holding of 2,286 units receives a gross cash credit of SGD 6.1722.

### Multi-currency distribution

A distribution of 0.10 per unit is announced in USD, with a EUR alternative. USD is the declared currency; the EUR election is chosen at a rate of 0.092 per unit, unless overridden per portfolio by an event instruction.

```json
[
  {
    "instrumentEventId": "CapitalGainsDistribution-2026-08-06",
    "instrumentIdentifiers": {
      "Instrument/default/Isin": "SG1AA6000000"
    },
    "description": "Capital gain distribution of 0.10 USD per unit, paid in EUR by default",
    "participationType": "MandatoryWithChoices",
    "instrumentEvent": {
      "instrumentEventType": "CapitalGainsDistributionEvent",
      "announcementDate": "2026-07-24T00:00:00.0000000+00:00",
      "exDate": "2026-08-06T00:00:00.0000000+00:00",
      "recordDate": "2026-08-07T00:00:00.0000000+00:00",
      "paymentDate": "2026-09-25T00:00:00.0000000+00:00",
      "cashElections": [
        {
          "electionKey": "USDollar",
          "dividendCurrency": "USD",
          "dividendRate": 0.10,
          "isDeclared": true,
          "isDefault": true,
          "isChosen": false
        },
        {
          "electionKey": "Euro",
          "dividendCurrency": "EUR",
          "dividendRate": 0.092,
          "isDeclared": false,
          "isDefault": false,
          "isChosen": true
        }
      ]
    }
  }
]
```